Greenspan put

Monetary policy.

'Greenspan put' is an abbreviation for 'Greenspan put option', also known as the 'central bank put option'.

The concept of the central bank put option is an assumption that central banks will intervene to prevent excessive falls in equity and other market valuations, usually by reducing interest rates.

It was originally named after the former chair of the Federal Reserve, Alan Greenspan.

See also

• Central bank
• Central bank put
• Monetary policy
• Moral hazard
• Put option